Break the basic rules on credit control and you soon lose out. But we are all guilty of lapses.
What are the basic rules?
Don’t give credit unless you really have to. If someone wants credit, get them to provide two trade references.
Keep the credit period short. There is nothing magic in 30 days – why not 7 days?
Chase the debt as soon as it is overdue. The best way to chase is on the telephone. Before you ring, remind yourself that what you are after is a promise to pay a certain amount on a certain day. If the promise is broken, ring to remind them.
Once a debt is say 60 days over its due date, either sue through the Court or write it off. Don’t waste time on lost causes.